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Bill Shorten says Labor wants carbon tax replaced by ETS

Updated
Fri 1 Nov 2013, 11:58 PM AEDT

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Video 14:22

Bill Shorten answers reporters' questions on carbon tax repeal

ABC News

The major parties are headed for a Senate stalemate on the future of the carbon tax, provoking the likelihood the Government will need to call a double dissolution election to scrap the tax by the July deadline.

After a meeting today, Labor leader Bill Shorten said his frontbench had unanimously voted to oppose the Federal Government's existing plans to repeal the carbon price, unless it included a move to an Emissions Trading Scheme (ETS).

This is at odds with the Federal Government's long-held plans to replace the carbon price with its Direct Action policy that does not link to overseas emissions reduction schemes.

The Government has repeatedly used Labor's opposition to the repeal legislation as a political tool and it wants to push the bills through parliament this year.

Labor won't be rubber stamp for Abbott: Shorten

Prime Minister Tony Abbott believes ditching the tax will save households $550 per year and he has accused Labor of choosing to withhold that money.

Mr Abbott also says the outcome of this year's federal election has given the Coalition a strong mandate to implement its election promises and he has taunted Mr Shorten directly, labelling him 'Bill-shock Shorten' and 'Electricity Bill'.